Fed's Kaplan: Sees gradual and patient removal of accommodation

Author: Justin Low | Category: News

Dallas Fed president Robert Kaplan speaking to Bloomberg TV

  • Says his dot plots for 2018 signals 3 rate hikes
  • Lifted his 2018-19 growth forecast a little bit due to tax plan
  • Tax cut impact on corporate investment may be modest
  • Worried by debt-financed tax cuts that raises deficit
  • Job growth will slow as the US reaches full employment
  • Waiting too long to raise rates risks playing catch-up
  • Shares some concerns about flatter yield curve
  • It's in the US interests' to maintain Mexico trade relationship
Kaplan will also not be on the voting board for 2018 as Dallas Fed is out of the rotation next year. Just some general comments by him, nothing that changes the Fed picture on things.